How we’re elevating Michigan’s economy: Our case for change
Michigan built the industries that built America. Now, we’re leading the way into a new era of growth, one defined by innovation and opportunity. As technology and markets evolve, Michigan’s greatest advantage lies in its ability to adapt.
The Community & Worker Economic Transition Office is turning that strength into action. We connect people, ideas, and data to help workers, businesses, and communities move forward with confidence. Our work is about more than managing change. It’s about using this moment to shape what comes next — creating the foundation for a resilient economy where every corner of Michigan has the chance to thrive.
Our backstory
The Community & Worker Economic Transition Office was established in legislation passed in 2023 to ensure Michigan’s workers, communities, and businesses have the tools and resources to navigate economic change. In creating this new office, policymakers took inspiration from similar offices created by other states, but Michigan’s office is unique.
Other states are largely focused on addressing harm that occurs in a community after an economic transition event has taken place. Michigan’s Transition Office works to support businesses, workers, and communities well in advance of a plant closure or business failure, so that they can take proactive steps to become more resilient in the face of uncertainty.
Since its inception, the Office has built partnerships across sectors, launched pilot programs that deliver real results, and elevated local voices in statewide planning. With a clear strategy and a proven model for collaboration, the Office is ready to continue driving lasting, inclusive change, that helps Michigan’s economy grow stronger for generations to come.
An integrated, first-of-its-kind strategy
The Community & Worker Economic Transition Office is executing a first-of-its-kind strategy that brings together workforce development, community resilience, and industrial competitiveness under one unified vision.
By equipping workers with in-demand skills, helping communities move from crisis management to long-term planning, and ensuring small and mid-sized manufacturers can thrive in emerging markets, we are laying the foundation for a more prosperous and inclusive Michigan economy. This approach ensures regions across the state can share in the benefits of economic transformation.
Explore Our Approach
6 reasons Michigan needs an Economic Transition Plan
1.
Our legacy is at risk
Michigan’s century-long leadership in the auto industry is under pressure from automation, global competition and shifting consumer demand. Over the last few decades, our auto employment has dropped from 25% of the national total to just 20%.
4.
Strategic advantage in advanced manufacturing
Michigan’s strengths in advanced manufacturing, engineering, and energy infrastructure position it to lead in developing and producing the hardware of the future economy: batteries, grid tech, robotics, drones, and more.
2.
Recent gains, sudden setbacks
A surge of $56B in EV and battery investments between 2019–2024 signaled Michigan’s continued competitiveness. But changes to federal policy in 2025 froze projects, threatening 13,700 auto-related jobs and pushing auto supplier/manufacturing parts employment to its lowest since 2009.
5.
Rising demand means rising stakes
Energy demand is surging due to data centers, electrified transport, and reshoring. As Michigan invests in new construction, grid upgrades, and critical infrastructure updates, it creates opportunities for Michigan manufacturers to meet this demand and stay competitive.
3.
Clean energy momentum
Michigan became the #1 state for clean energy projects tied to federal incentives, attracting $26B in private investment and creating 21,000+ jobs. State-level policy stability has helped sustain progress in the energy sector despite federal uncertainty.
6.
We’re at an inflection point for the future
With the right strategy, Michigan can transform its industrial base to power the 21st century — building not just for itself, but for a global advanced mobility and clean energy market projected to exceed $1 trillion annually by the 2030s.